Smart investors have been eyeing self-storage businesses for years, but since more and more consumers are purchasing RVs, boats, and recreational toys, RV and boat storage businesses offer even more earning potential. That’s why now is the perfect time to invest in an RV, boat, and toy storage business.
RV and Boat Storage is an Underserved Market
RVs, boats, and toys have never been more in-demand. The pandemic pushed many people out of cities and into the great outdoors, but most don’t have a place to store their new toys. These modern consumers don’t just want a bare-bones parking lot – they want a professional, convenient, and secure facility that protects their investment.
This offers an excellent window of opportunity into a new niche.
RV and Boat Storage has Great Profit Potential – if Done Right
RV and boat storage can be a huge profit generator for self-storage business owners and investors. Whether you upgrade an existing storage facility or build new, it has tremendous potential for success.
- Competition is Low and Unorganized – Many older, bare-bones RV and boat storage facilities are in inconvenient locations and don’t offer the amenities modern consumers expect. Big players haven’t dominated the market (yet) so there’s still plenty of room for newcomers.
- Long-Term, Reliable Tenants – In most cases, offering RV, boat, and toy storage leads to long-term, profitable customers. These tenants tend to pay their rent on time and don’t mind paying a premium to protect their expensive toys.
- High Return on Investment – Traditional self-storage facilities require a lot of expensive steel material, whereas RV and boat storage doesn’t require as much structure. RV and boat storage only requires about half the overhead of other storage facilities.
Important Considerations for an RV & Boat Storage Business
A storage facility that offers vehicle, boat, and toy storage comes with extra considerations. Tenants expect more, and there are several additional aspects to note.
- Land Cost – Reduced land basis is a must when considering RV and Boat storage. The price per square foot for land should be lower than traditional self-storage. Ideally, we look for land below $5 per square foot.
- Legal and Insurance – With many vehicles moving in and out of your facility, it will be vital to keep thorough records and require additional releases and documents to keep yourself covered to limit liability and risk.
- Facility Amenities – Your tenants might expect things like electrical hookups, dump and fill stations, temperature controls, extended access hours, and more. Additional services like wintering, cleaning, or valet will help attract and retain tenants willing and able to pay a premium.
- Customer Service – These high-value customers will also be looking for outstanding service and the peace of mind that comes with it. With trained and knowledgeable staff, online conveniences, and advanced security, your customers will stay put longer and refer friends your way.
Investing in an RV and boat storage business is a big decision. We’d love to hear about your plans and help you get there right. Connect with us.